BILL ANALYSIS                                                                                                                                                                                                    �



                                                                            



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          |SENATE RULES COMMITTEE            |                        AB 715|
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                                       CONSENT


          Bill No:  AB 715
          Author:   Dickinson (D)
          Amended:  6/16/14 in Senate
          Vote:     21

           
          PRIOR VOTES NOT RELEVANT
           
          SENATE GOVERNANCE & FINANCE COMMITTEE  :  6-0, 6/25/14
          AYES:  Wolk, Knight, Beall, DeSaulnier, Hernandez, Walters
          NO VOTE RECORDED:  Liu


           SUBJECT  :    Sacramento Area Flood Control Agency:  assessments

           SOURCE  :     Sacramento Area Flood Control Agency


           DIGEST  :    This bill specifies how the Sacramento Area Flood  
          Control Agency (SAFCA) can make changes to assessment amounts,  
          district boundaries, and other aspects of its benefit  
          assessments.

           ANALYSIS  :    The California Constitution (Cal. Const.) defines a  
          benefit assessment as "any levy or charge upon real property by  
          an agency for a special benefit conferred upon the real  
          property" (Proposition 218, 1996).  Several state laws allow  
          local officials to levy benefit assessments to pay for public  
          works and public services, like flood control, street  
          improvement, streetlights, and public landscaping.  The Cal.  
          Const. requires owners of real property to approve benefit  
          assessments in a weighted-ballot election.  Property owners vote  
          in proportion to their proposed assessments, which reflect how  
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          much their property benefits from the proposed public works or  
          public services.  

          SAFCA is a joint powers agency, formed in 1990, with a  
          membership that is comprised of Sacramento County, Sutter  
          County, the City of Sacramento, Sacramento County Water Agency,  
          Sutter County Water Agency, Reclamation District No. 1000, and  
          the American River Flood Control District.  SAFCA is responsible  
          for coordinating a regional effort to finance, provide, and  
          maintain facilities and works necessary to ensure a reasonable  
          and prudent level of flood protection in designated residential,  
          commercial, or industrial areas within its boundaries and for  
          providing local assurances and participating in cost sharing for  
          federal flood control projects.  SAFCA is governed by the  
          provisions of a special act enacted by the Legislature in 1990,  
          the Sacramento Area Flood Control Agency Act (SAFCA Act).

          This bill allows SAFCA to, at any time, change any of the  
          following:

           The boundaries of any assessment district established by  
            SAFCA.

           Any projects identified in the report prepared by SAFCA when  
            it formed an assessment district. 

           Any assessments levied by SAFCA.

           Any act, determination, or provision by SAFCA or SAFCA's board  
            with respect to any assessment district established by SAFCA.

          This bill requires SAFCA to initiate, conduct, and complete  
          proceedings for any change consistent with:

           Article XIIID of the Cal. Const., 

           The Proposition 218 Omnibus Implementation Act, and 

           The procedures provided by state law for SAFCA to form an  
            assessment district.

          This bill requires that, in proceedings to annex territory to an  
          existing assessment district, the resolutions, report, notices  
          of hearing, right of majority protest, and any election must be  







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          limited to the territory proposed to be annexed.  In proceedings  
          to detach an area from an existing assessment district or  
          dissolve an existing assessment district, SAFCA may dispense  
          with the preparation and approval of the report that is required  
          as part of the process to establish a district.

          This bill prohibits SAFCA from making a change to any assessment  
          district while the bond secured by the assessments levied in  
          that assessment district are outstanding, unless SAFCA's board  
          determines in the resolution of intention with respect to the  
          change that it will not interfere with the bonds' timely  
          retirement.

          This bill defines the term "change" to include correct, alter,  
          modify, add, omit, increase, decrease, extend, or any other  
          change.

           Background
           
          The SAFCA Act allows it to levy assessments, reassessments, or  
          special taxes and issue bonds to finance the acquisition,  
          construction, maintenance, or operation of authorized flood  
          control facilities.  SAFCA may levy assessments, reassessments,  
          or special taxes, and issue bonds in accordance with, and  
          pursuant to:  the Improvement Act of 1911, the Improvement Bond  
          Act of 1915, the Municipal Improvement Act of 1913, the Benefit  
          Assessment Act of 1982, the Integrated Financing District Act,  
          the Mello-Roos Community Facilities Act of 1982, and the  
          Marks-Roos Local Bond Pooling Act of 1985.   The SAFCA Act also  
          establishes another process that SAFCA may use, as an  
          alternative or in addition to its other powers, to levy  
          assessments and issue bonds.

          Unlike some other state laws authorizing local governments to  
          levy benefit assessments, the SAFCA Act does not explicitly  
          authorize SAFCA to make changes to an existing assessment  
          district.  SAFCA officials want the SAFCA Act to grant it the  
          same authority that some statutes grant to other local  
          governments to increase the amount of an assessment, expand  
          district boundaries, and make other changes to an existing  
          assessment district. 

           Comments
           







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          According to the author, "Now that the President has signed  
          legislation authorizing the Natomas Levee project, it is up to  
          our community to come up with the required matching funds to  
          finish the Natomas Levee project.  This bill does not change the  
          vote or noticing requirements and is fully consistent with Prop  
          218 and the California Constitution."

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  No   Local:  
           No

           SUPPORT  :   (Verified  6/26/14)

          Sacramento Area Flood Control Agency (source)


          AB:k  6/27/14   Senate Floor Analyses 

                           SUPPORT/OPPOSITION:  SEE ABOVE

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